The formal acquisition still needs a shareholder vote from Aimia

An Air Canada-led consortium’s acquisition of Aimia’s Aeroplan loyalty program has reportedly cleared regulatory hurdles.

According to a December 24th, 2018 Air Canada media release, Aimia is set to receive $450 million in cash for Aeroplan, with approximately $1.9 billion in liability to be taken on by a group consisting of Air Canada, TD Bank, CIBC and Visa Canada.

TD and CIBC are set to pay Air Canada approximately $822 million in total, with Visa Canada expected to make a payment as well.

Air Canada said that the acquisition is expected to close sometime in January 2019, “subject to the satisfaction of customary conditions as well as Aimia shareholder approval which will be sought by Aimia at its special meeting of shareholders scheduled for January 8th, 2019.”

The Aeroplan loyalty program was first established by Air Canada in 1984, but was spun off as its own company in 2002.

In 2017, Air Canada decided to launch a new loyalty program to replace its affiliation with Aeroplan and Aimia in 2020.